All posts tagged dark pools

Hong Kong’s securities regulators are moving to gather more information on a mysterious force in the market: dark pools.

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The pools, which now account for almost 13% of trading volume in the U.S. according to Rosenblatt Securities Inc., are gaining traction in Hong Kong–but no one knows how much. Estimates hover between 1% and 4%.

Following an October consultation report from the International Organisation of Securities Commissions which said it was “particularly important” for regulators to have accurate information on how much trade actually occurs in dark pools, the city’s exchange operator will now require alternative liquidity providers (dark pools included) to start reporting their trades using a new transaction code.

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